bad isn't the right word, low quality , is the right one, in the same way that a chevy cleo and a BMW M5 are cars but the cleo is of lower quality, can it do the same job as the BMW , sure to a point and then will break down.
the problem with a PSU of lower quality is when they fail.. they tend to take out motherboards, video cards, memory ram even hard drives with them with spike in voltage before they expire. does this mean that a 100$ PSU will not fail. far from it, but the odds are when the good quality Psu fails it has safeties in place that prevents its failure to take out other components in their last breath